"Hummingbird, however, aims to increase mine production to 150 000 oz/y by bringing a third pit into operation, which is located 5 km from its processing plant. This pit currently only has inferred resources and does not form part of the existing mine plan. There is, nevertheless, a scoping study on the pit, which indicates that it has a higher-grade material of about 4.5 g/t of gold, Monro points out." END
Quite interesting to see HUM now talking more about additional oz/y and more recently plans for extending the mine life into the teens from the current 6 year plan.
Now, if they could (and it's a big 'IF) get 150koz per year for the next 14 years with costs roughly inline with $700/oz, then you are talking mega bucks for Yanfolila. The type of mega bucks that Rangold and others tend to splash out on projects that are producing at low cost and for a decade or more.
Very exciting times and makes perfect sense to get the best from the investment made in infrastructure on Yanfolila.
Still have the Glenwick assets to bolt onin some way in the future too.
Explorer overcomes funding crunch, targeting first gold pour at Mali project by year-end
18th August 2017 BY: ILAN SOLOMONS
JOHANNESBURG (miningweekly.com) It is common knowledge that securing investment for exploration projects, particularly for junior operators, has been extremely challenging, owing to the current tepid global economic climate and low commodity prices, emerging gold miner Hummingbird business development head Robert Monro tells Mining Weekly.
Despite these challenges, Hummingbird put together one of the largest fundraisers for a mining project in Africa over the past four years. This exceptional achievement is testament to the confidence the market has in our management team and project portfolio, Monro enthuses.
Hummingbird Resources has drawn down fully on its $60-million senior secured loan facility with financial institution Coris Bank International to fund the ongoing construction of its $88-million Yanfolila gold mine, in Mali, which is within budget and scheduled for first gold pour by December.
The latest draw-down of the $35-million balance from the debt facility, in July, followed the initial $25-million drawn in April. Monro states that, in 2016, the company also raised $75-million from its shareholders for its project development plans.
Johannesburg-based project management and engineering firm Senet is the primary contractor for the mines development, with Malian construction and engineering firm Imagri the primary subcontractor. The mine employs about 600 people, including contractors, and expects to grow its staff complement to about 900 employees once the mine is in production.
Monro notes that Yanfolila is targeting 132 000 oz of gold during its first full year of production, aiming to become a low-cost, high-grade openpit operation. The mine plan is to produce, on average, 107 000 oz/y from its two mining pits at an all-in sustaining cost of $700/oz over the life-of-mine. Ore will be processed in a carbon-in-leach gold recovery plant at an expected recovery rate of about 93%.
Hummingbird, however, aims to increase mine production to 150 000 oz/y by bringing a third pit into operation, which is located 5 km from its processing plant. This pit currently only has inferred resources and does not form part of the existing mine plan. There is, nevertheless, a scoping study on the pit, which indicates that it has a higher-grade material of about 4.5 g/t of gold, Monro points out.
The company has appointed Australian mining services company Ausdrills Africa subsidiary, African Mining Services (AMS), as the mining contractor for the project. AMS is on site and is scheduled to start preproduction mining by the end of this month.
Yanfolila has a total resource of about 2.2-million ounces of gold at 2.4 g/t, with reserves of about 700 000 oz of gold at 3.1 g/t. Based on current reserves, the mine has a life span of seven years. However, Monro notes that the mine has a large amount of resources within its permit areas that have not been drill-tested but could potentially add to the mines reserves.
Once the mine is in production, we will continue exploration work on the project to expand its life span, he states.
Moreover, Monro notes that the project has had tangible benefits for Mali. In addition to creating many new job opportunities directly through employment at the mine and indirectly through the provision of goods and services from local entities, the company has several corporate social responsibility initiatives in place.
These include paying the salaries of 20 teachers at nearby schools, providing financial support for local clinics and establishing market gardens, where villagers are trained to grow their own fruit and vegetables, some of which is bought by Hummingbird.
Monro points out that the company aims to ensure the creation of more jobs for Malians. Although the majority of the companys workforce
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